A few years ago, I took the plunge and started a company. It took a toll on my health and left me socially anxious—so much so that it took years to fully recover.
Not the uplifting story you expected, right? Stick with me.
Being an entrepreneur vs. having an entrepreneurial mindset are two sides of the same coin. We often believe that if we have ideas, we should go and make them happen, but that’s not always the right choice—especially if we go and try to do it alone.
Starting a company can be lonely, emotionally exhausting and will put a big hole in your pocket. If you are not ready to commit to that lifestyle it’s okay. You can still benefit from having an entrepreneurial mindset.
Having an entrepreneurial mindset, helps you take a different approach to solving problems. You take ownership of your work, free yourself to make decisions, present ideas, and execute them with confidence. This type of mindset helps you care about the value you and your organization create.
Starting a company in itself is not a bad decision, but starting it prematurely without asking the right questions is. This is why 90% of startups fails, which is crazy. I made that mistake myself. Even though I saw some profitability at the very end after investing all my hard-earned money, by then I was emotionally exhausted, competing in a cutthroat market without any future plans. I had to quit.
And that was the best decision I ever made. Now, I can join an organization that solves problems I care about, contribute my knowledge and time, and achieve the same things without compromising my health and relationships—and while still making money.
Questions to Ask Yourself Before Starting Your Venture
1. Why might it fail in the future?
You should ask yourself this. Optimism is great, but we live in the real world, and it’s not always fair. Why might your company fail? Could it be replaced by AI? Are you trying to compete with giants in your space who could crush you? Ask yourself these questions, and if you’re still confident, move to the next one.
2. How is the competition?
Are there only 10 companies competing in the market? If you start a company, how much market share could you acquire in the next 4-5 years? Are there thousands of similar firms? Don’t step into a market with intense competition if it doesn’t make sense. Sometimes, helping somebody else or doing something unique with your time can be a better choice.
3. What do you offer that no one else can?
Is your customer support or technology superior? Do you know your customers better than anyone else?
4. Can you build the best team?
You need to provide good compensation to acquire the best people. This could be the adventure of a new startup or a competitive salary, but whatever it is, you need the best people. Without a great team, you can’t build a company. And if you have the best people, you have to work hard to get them to work together.
If you can answer these questions confidently, I wish you luck in your future endeavors. But if you’re not set on starting a company, remember that having an entrepreneurial mindset will benefit you wherever you are—whether in your own venture or as part of someone else’s.